Advanced Manufacturing

This section details four occupational clusters most commonly employed in Advanced Manufacturing—drafting and technician, computer/software,
production, and engineering—and provides insight on San Diego employers’ workforce needs. The Advanced Manufacturing sector accounts for 10 percent of
establishments, 15 percent of all paid employment and 22 percent of annual payroll in the region.

SAN DIEGO GROSS REGIONAL PRODUCT:in Billions

This sector accounted for 10 percent of all establishments, 15 percent of all paid employment and 22 percent ($13 billion) of annual payroll in San
Diego County in 2012. Advanced Manufacturing Gross Regional Product (GRP) consistently made up nearly 23 percent of San Diego County’s GRP from 2007 to 2012.

DEMAND & SUPPLY FOR OCCUPATIONAL GROUPS

This chart assesses which occupations need to be addressed by workforce development by comparing employment demand against supply of workers and analyzing
the difficulty employers have in filling positions in the four occupational clusters. Comparing employer demand versus worker supply helps identify supply gaps
that can be filled with workforce investments in education and training. A supply gap is created when the number of workers trained in programs related to the
occupation does not match the number of available job openings in a given year. If the San Diego region continues to produce as few workers as it did in
2012—the most recent year available for supply data—it will not be able to keep up with increasing employer demand for production and software workers.

EDUCATION PIPELINE FOR MANUFACTURING KNOWLEDGE

In order to attract younger workers to replace the retiring workforce, young adults must be exposed to and aware of the exciting opportunities available in this sector. To encourage this, alignment of the entire educational continuum from K-12 to graduate school is key. This figure provides a heuristic process of aligning education with Advanced Manufacturing skills and competencies. With rapid technological advancement, education providers are regularly adapting curriculum to meet the needs of a constantly shifting workplace. To do so effectively, the workforce development system must continue to involve employers.

ADVANCED MANUFACTURING CAREER LATTICE

Because Advanced Manufacturers are small, specialized firms, employers invest significant resources in
training their workforce and providing personnel opportunities for job growth. A career in this sector can begin
at an entry-level position requiring no more than a high school diploma, and move to a management position with
formalized training. While not a comprehensive list of all possible career progressions, this career lattice demonstrates
somepotential career paths in the Advanced Manufacturing sector. In order to promote this sector to jobseekerswho are unaware
of its career opportunities, the development of such career lattices may attract skilled workers to this diverse and growing sector.

ADVANCED MANUFACTURING ESTABLISHMENTS i BY NUMBER OF EMPLOYEES

The Advanced Manufacturing sector is dominated by small- to medium- sized businesses with 82 percent of firms employing fewer than 20 employees. There are over 3,000 Advanced Manufacturing establishments in San Diego County.

PROJECTED EMPLOYMENT GROWTH

Production occupations are projected to have the greatest absolute growth in the region with more than 3,700 jobs added between 2014 and 2018.
Drafting and technician occupations are expected to grow at the fastest rate of 19% during this period.

Absolute Projected Growth

ADVANCED MANUFACTURING PROJECTED GROWTH

TOP INDUSTRY OR BUSINESS FUNCTION OF ADVANCED MANUFACTURING FIRMS

More than 250 employers in the Advanced Manufacturing sector in San Diego were surveyed and interviewed for this report.
This sector includes diverse industries such as electronics, aerospace and biotechnology. No one industry dominated the Advanced
Manufacturing sector. Eleven percent of firms specified other industries as their primary business function, which included
medical equipment, dental restorations, custom foam inserts, breweries, radio frequency identification, musical instruments and more.